Fino Payments Bank has received the
final ok from Reserve Bank of India. In the next couple of years, you will be
able to see ‘Fino Payments Bank’, signboard.
The Fino group has a number of key
features which can be deployed to scale up volumes quickly.
These
“11 Differentiators” will enable Fino Payments Bank to rise above the crowd.
Differentiator
01: Leverage Fino Bpay to attract customers
around BPCL Outlets for digital transactions.
In July 2016, Fino Paytech entered into a strategic partnership with
domestic oil major Bharat Petroleum Corporation Limited (BPCL), which acquired
a 21% stake in Fino for ₹251 crore.
BPCL
has 13,450+ fuel stations spread all over India. BPCL has 4,500+ LPG
distributors, with 1500 exclusive rural distributors.
In
fact, Fino Payments Bank should set up a separate vertical to digitise all
transactions at BPCL outlets. This itself will provide the much needed CASA
Balances to earn a decent float income.
The
main advantages of BPCL Outlets are:
A)
Uninterrupted
power supply
B)
Ease
of ensuring uninterrupted network connectivity
C)
A safe
atmosphere for customers to carry out banking related transactions
D)
Ease
of getting premium space with minimal efforts
Differentiator
02:: Integrate Fino Bpay Wallet into BPCL Smart Drive
App. BPCL launched its Smart Drive in 2016 with various features to encourage
fuel users to search for a BPCL fuel station only.
Differentiator
03::: Quickly sign up merchants in and around
BPCL Outlets on Fino Bpay. Open Current Accounts for the merchants and as and
when the balances touches INR 1 lacs, initiate an auto transfer to the
Merchants main bank account via NEFT/IMPS.
This
will significantly reduce the cash usage at such merchants
Quote
from Reserve Bank of India’s operating guidelines for Payment Banks
Bank deposits
(i)
As provided in the current RBI directions, PBs can accept only savings and
current deposits. The aggregate limit per customer shall not exceed INR100,000,
as provided in the Licensing Guidelines. However, the RBI will have no objection to the PBs making
arrangements with any other scheduled commercial bank / SFB, for amounts in
excess of the prescribed limits, to be swept into an account opened for the
customer at that bank. This arrangement should be activated with the
prior written consent of the customer
Differentiator
05::::: Tie up with Small Finance Banks for
instant overdraft facility to its Fino BPay merchants. The overdraft can
commence with a minimal amount and be scaled up based on the merchants
cash-flows.
Alternatively,
it can offer overdrafts through its its
own RBI registered NBFC-MFI, i.e Intrepid
Finance & Leasing Pvt Ltd.
Differentiator
06:::::: Create Wi-Fi Hotspots in all its branches
to enable its customers to transact digitally with minimum cost and high
safety. Depending on the potential, it can deploy trained staff to assist customers
to transact digitally.
In
this area, Fino Paytech is already having experience i.e Assisted e-commerce
model, an innovation under FINO Money started off with Snapdeal.
Differentiator
07::::::: Focus on national high-remittance corridors
to increase the footfalls to its digital platform. Fino Payments Bank has
already tied-up with Western Union to tap the lucrative remittance market.
Differentiator
08:::::::: Decide which is better - High service fees, low volumes or – Low service
fees, high volumes
Differentiator
09::::::::: Adopt local Government schools in and around
BPCL outlets for Financial inclusion and financial
literacy programs. This is a good way to promote brand value.
Differentiator 10:::::::::: Focus on Truck
Drivers to attract customers into Fino Payments Bank fold
Differentiator 11::::::::::: Tap its massive 78 million customers for
more differentiators
Links:
Link
A) Fino Paytech to launch payment bank, targets high domestic
remittance areas
Link
B) Fino Paytech set to start payments bank ops from April
Link
C) Fino BPay
